The main currency pair keeps its side-ways movement intact as we head into early Europe, with the traders largely unperturbed by upbeat Chinese fundamentals news, including in-line with expectations GDP figures.
The downside remains capped by the mid-point of 1.12 handle as the USD bulls stalled the recent upsurge and awaits the industrial production and consumer sentiment data for fresh direction. The USD index trades dead flat at 94.94, retreating from two-week highs reached at 95.21.
Fed chair Janet Yellen sent strong indications in late-March that the FOMC will express extreme caution in raising short-term interest rates as headwinds from heightened global financial risks continued to recede slowly. The FOMC has left its benchmark Federal Funds Rate unchanged at a level between 0.25 and 0.50% at each of its first two meetings this year.
Focus EU Data..
The macro calendar remains light, with the only second-liner data in the Euro zone trade balance lined up for release later today.